State-run oil explorer ONGC is keen to raise natural gas output from onshore fields in Tripura in order to feed its upcoming 726.6 mw power plant and also to supply its customers.
The country’s biggest oil and gas explorer plans to raise its output from the fields to 5 million metric standard cubic metre per day (mmscmd). This would be peak production from the fields in from onshore gas fields in Tripura, where output has been capped for long due to lack of commercial demand.
According to media reports, the first phase of the power plant is getting 1.4 mmscmd of gas produced from the fields at the moment.
The company expects to complete the entire power plant project in the next two years and its fields will feed 2.8 mmscmd to the plant and the remaining would be sold. Some customers, with a total requirement of 3.3 mmscmd, have also been tied up, reports indicate.
The company planned to raise gas output to 18 mmscmd in the next 2-3 years and the incremental gas production from Tripura is part of this plan.
This includes 6 mmscmd from its C Series field in the west coast by 2014 end and 7 mmscmd from its Daman fields. This gas would be under the non-administered price mechanism, meaning the company will have the liberty to sell it at the revised price of $8 per million metric British thermal unit.
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